Dear Sir / Madam.,
A Small Partnership Firm (2 person) doing "Manufacturing & Servicing".
They earnedin FY 2016-17 - Rs. 37,57,800...
Expenses - Rs. 29,38,550
Depreciation - Rs. 33550... Total Book profit Rs. 785,700 (Without Remuneration 7 Interest)...
As per section 40b allowable remuneration Rs. 5,61,500... If they they will avail then fall under 44AB. but, They don't want 44AB..
Also they will be file U/s 44AA and will Pay Tax @ 8% and Above...
If they file @ 8% then the Net Profit Rs. 300650... If they will show the Value the the balance Rs. 261,000 will be book as Remuneration to Partners account...
Please solve my query...
CAclubindia
